Japan's Buffett-Backed Trading Houses Brace for Tariff Impact
Major Japanese trading houses, backed by Warren Buffett, this week released cautious profit forecasts for the year, setting aside millions to hedge against persistent tariff uncertainty.
Mitsubishi Corp. and Mitsui & Co. forecast this fiscal year's net income will fall 26% and 14%, respectively, from a year earlier, according to filings. Sumitomo Corp. and Marubeni Corp. expected theirs to rise 1.4% while Itochu Corp. saw a 2.2% climb. All five firms allocated funds as a buffer to hedge against tariff impacts, they said, with Sumitomo and Itochu setting aside 40 billion yen ($276 million).
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